Sunday 13 May 2012

Economic Outlook- Greek sparks off Economic Woes again

In view of the recurring economic turmoil from Europe, risk of holding on to non-dividend yield stocks increases drastically. (Note: Non-dividend yield stocks tend to rise and fall drastically relative to dividend yield stock which are more defensive in nature) It leads to a re-assessment of whether I should hold or sell off (i) OCBC; (ii) OUE and (iii) Wilmar. Wilmar as per the last entry gave a significant upside potential due to it's current low price hence to keep and wait for price rebound. OCBC just announced it's quarterly and numbers still going strong while OUE seems to be in a perpetual limbo state. Conclusion is to keep OCBC and Wilmar and sell off OUE to mitigate market risk.

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